Sendje Hydroelectric Project See New Finance Deal

The Development Bank of Central African States (BDEAC) and the Government of Equatorial Guinea have signed a Loan Agreement to finance the construction and operation of the plant Sendje hydroelectric plant.

The purpose of the financing agreement, amounting to FCFA 80 billion , is to build and operate a 200 MW hydroelectric infrastructure in Sendje, located 40 km from the city of Bata, to supply all the cities from the mainland of the country (Bata, Mbini, Kogo, Añisok, Mongomo, Ebebiyin, etc.) in clean and sustainable energy.

Through this ambitious project, Equatorial Guinea will also participate in the implementation of integrative programs in terms of electrical interconnection, in accordance with the prescriptions of the Energy Pool of Central Africa (PEAC) of which the country is a member.

This project has many other advantages: (i) socio-economically, it will help reduce the average price per kilowatt hour, with a substantial gain for subscribers; (ii) commercially and financially, it will increase the rate of connection to the country’s electricity network and make up for the electricity deficit which is paralyzing the economic growth of the country in general and of the mainland in particular; and finally (iii) from an environmental point of view, it will contribute to reducing dependence on fuel oil thermal production units, by integrating renewable energies into the electricity production system, thereby improving Equatorial Guinea’s carbon footprint and subsequently participate in mitigating the effects of climate change in the country.

In his speech for the occasion, the President of the BDEAC reaffirmed the Bank’s availability to assist the Government of Equatorial Guinea in the implementation of its development program, with a view to diversifying its economy. Despite an international context strongly impacted by the health crisis linked to COVID-19, the President reassured the Government as to the actions underway to ensure the successful completion of this important project. Reacting to the words of the President of the BDEAC, the Minister of Finance, Economy and Planning wished to present the sincere thanks of the Government of Equatorial Guinea and the recognition of the people of Equatorial Guinea vis-à-vis the BDEAC. Finally, he expressed the hope that cooperation with the Bank would continue and be further consolidated.

The signing ceremony took place at the Ministry of Finance, Economy and Planning in Malabo, between Mr. Fortunato-Ofa MBO NCHAMA, President of the BDEAC and His Excellency Cesar Augusto Mba Abogo, Minister of Finance, of the ‘Economy and Planning of Equatorial Guinea. This ceremony was enhanced by the presence of several members of the Government, including His Excellency Baltasar Engonga Edjo, Minister of State for the Presidency in charge of Regional Integration and His Excellency Miguel Ekua Ondo.

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